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Naki Group injects $10 million into Borey Ravana

Naki Group has decided to inject $10 million into building a housing project in southern Phnom Penh, while the housing demand for local people still sees growth.

CEO of Naki Group, Meas Nget Veasna, said the company is investing in Borey Ravana in order to meet the needs of the customers.

The borey covers an area of 3 hectares of land with 233 houses to be sold between $35,000 to $70,000, depending on location and size. Borey Ravana is located at the end of 60m Street along National Road 2 (former CTN land), in Prek Kampi district, Khan Dangkor, Phnom Penh.

“I think that this project will be successful. I think those who get salaries around $500 to $1,000 per month can buy it easily, but we target all types of customers. The project is eight kilometes from the Independence Monument, and we also focus on the quality of the construction,” he said.

“The investment on this affordable house is in line with the social economic situation of Cambodia because our country is peaceful with economic growth every year, and the middle class is also growing,” he added.

Khat Sovann, general manager of Cam Top Property Group, said housing demands on the outskirts of the city currently meet supply because the prices are affordable for low middle- and middle-income people.

“The price from $30,000 per house is very affordable because based on quality and construction costs the developer can gain a little profit and sometimes the developer wants to help people and also develop the project,” Mr Sovann said.

He continued: “With such prices, there will be a lot of demand, but even with the low price, buyers need to check the construction quality and timing and infrastructure.”

Chrek Soknim, CEO of Century 21 Mekong, said with the capital’s expansion and the population growth in the city, people who moved to live in the city are now wanting to move to the outskirts where prices are more affordable.

“The land in the central city is high and full of people, so developing projects with affordable prices at the outskirts is good for low middle- and middle-income people,” Mr Soknim said Hoem Seiha, research director of VTrust Appraisal Co Ltd, told Khmer Times recently that the property market has seen some gradual growth this year, though housing and condominium markets were much more robust between 2014 and 2016.

“The mild growth is due to a slow-down of primary demand for condominiums whose buyers are mostly foreigners. Secondary demand for completed homesis still going well nowadays,” Mr Seiha said.

“The political situation may put some of Khmer-dual national buyers from the Western world, such as the US or France, on a more careful attention on buying homes in Cambodia but does not totally affect the property market here because the main home buyers are local residents who are more accustomed to political situations,” he added.